Nevada § 350.674 - Issuance of municipal securities constituting debt to fund or refund special obligations not constituting indebtedness: Conditions; restrictions

§ 350.674. Issuance of municipal securities constituting debt to fund or refund special obligations not constituting indebtedness: Conditions; restrictions

1. Subject to the provisions of subsections 2, 3, 4 and 5, nothing contained herein

shall be construed as authorizing the municipality to issue any municipal securities

constituting a debt for the purpose of funding or refunding municipal securities constituting

special obligations which do not constitute an indebtedness. 2. Any special obligation securities of a municipality pertaining to any project may

be funded or refunded by general obligation securities pertaining to the project only

if the municipality is authorized by law to issue such funding or refunding securities

at the time of their issuance, even though the municipality was not so authorized

to issue them at the time of the issuance of any such funded or refunded securities. 3. If the issuance of general obligation bonds to defray the cost of the project is

conditioned upon their approval by the qualified electors of the municipality at an

election, any general obligation securities pertaining to the project and creating

an indebtedness, by funding or refunding special obligation securities or otherwise,

may be issued only if the bonds have been so approved at an election in the manner

provided by law. 4. If a debt limitation pertains to any general obligation bonds or other securities

of a municipality constituting an indebtedness and relating to any project, no general

obligation securities pertaining to the project and creating an indebtedness, by funding

or refunding special obligation securities or otherwise (in contradistinction to funding

or refunding bonds merely reevidencing an indebtedness formerly evidenced by the securities

funded or refunded), shall be issued in a principal amount exceeding such debt limitation. 5. No bonds of a municipality shall be refunded by the issuance of its interim debentures,

its notes or its warrants. No interim debentures of a municipality shall be funded by the issuance of its notes

or its warrants.